Tomahawk, WI 07/31/2014 (Basicsmedia) – Activist Investor, Carl Icahn, has further trimmed his stake in Family Dollar Stores, Inc. (NYSE:FDO) to 3.61%; the move comes a surprise considering he had earlier reduced his stake from 9.4% to 6%. Now that he is below 5%, CNBC’s, Bertha Combs, reports that the investor does not have to talk about the stock anymore. The billionaire investor has gone silent after trimming his stakes, something that is unusual with him.
“Yesterday we told you, Carl Icahn, had reduced his stake, he has reduced it yet again, now he’s stake in Family Dollar is at 3.61%. Now that he is under 5% he does not really have to talk about it anymore. He started off at 9.4% at one point, cut to 6% yesterday and now he is just over three and a half percent,” said Mrs. Combs.
The move comes as Family Dollar is reported to have reached an agreement to be bought’ by rival discount chain Dollar Tree, Inc. (NASDAQ:DLTR). In a transaction valued at $8.5 billion. Icahn had earlier stated that he was ready to let go of his stakes in the company rather than wait for the deal to close or for higher offers. Icahn has been at war with the company consequently threatening it against a proxy war if it did not agree to put itself for sale.
Icahn has already confirmed that there are a number of potential buyers who have shown interest in buying the company with huge potential of taking it to the next level. At 9%, he was the majority shareholder, a position that he has now left to the company’s chief executive, Howard Levine. Icahn had started a campaign, pushing for the sale of the company after claiming it had miserably underperformed when compared to its peers in the industry
The Activist investor group has also stated that it will continue to monitor the happenings within the company, with a view of selling additional stock.